Exxon secures over 271,000 acres in Texas waters for offshore CO2 capture

Talos Energy

10/10/2024 15:07

Oct 10 (Reuters) - Exxon Mobil  XOM.N  said on Thursday
it has acquired state leases for over 271,000 acres in Texas
state waters for an offshore carbon dioxide (CO2) capture
operation.
    The lease with the Texas General Land Office follows Exxon's
2021 bid for federal land off the Texas coast for CO2 capture,
and its emergence as a high bidder on 69 blocks in the shallow
waters of the U.S. Gulf of Mexico in 2023 to further expand its
potential carbon storage area.
    Carbon capture, a process where CO2 generated from
industrial activity is stored underground, has been embraced by
oil companies including Chevron  CVX.N , Occidental Petroleum
 OXY.N  and Talos Energy  TALO.N  to reduce emissions in the
environment and address climate change.
    "With our growing roster of customers ready to deploy CCS
(carbon capture and storage), we'll be driving substantial
emissions reductions along the Gulf Coast," said Dan Ammann,
president of ExxonMobil Low Carbon Solutions.
    The company did not disclose the duration or financial terms
of the lease.
    A spokesperson for Texas Land Commissioner, Dawn Buckingham,
did not immediately reply to requests for terms of the lease.

 (Reporting by Pooja Menon in Bengaluru; Editing by Vijay
Kishore)
 ((Pooja.Menon@thomsonreuters.com;))